The court emphasized the borrowers' right to representation in loan settlements while ensuring compliance with procedural mandates under the SARFAESI Act.

BASANT BALAJI J ======================

W.P. (C) No. 5275 of 2026 ========================

Dated 11^th day of February 2026 JUDGMENT The petitioners had availed a loan of Rs.15,00,000/- and Rs.33,00,000/- from the respondent Bank, being an overdraft facility and an agricultural loan respectively. Upon default in remitting the EMIs, the respondent Bank initiated proceedings under the provisions of the SARFAESI Act by issuing notice under Section 13(2) thereof. At that stage, the petitioners approached this Court by filing W.P.(C) No.2735 of 2024 seeking the benefit of instalment facility. By Ext.P1 judgment, this Court directed the petitioners to remit the outstanding amount of Rs.76,05,497/- in twelve consecutive and equal monthly instalments, commencing from 13.03.2024. As the petitioners failed to comply with the directions contained in Ext.P1 judgment, they filed I.A. No.2 of 2024 seeking enlargement of time, which came to be dismissed.

2. Thereafter, the petitioners approached the Debts Recovery Tribunal by filing S.A. No.521 of 2024 and S.A. No.522 of 2024, which are still pending consideration. In the meanwhile, the petitioners were served with Ext.P5 notice issued under Section 13(4) of the SARFAESI Act . On receipt of the same, the petitioners submitted Ext.P6 representation before the respondent Bank seeking One Time Settlement and also remitted a sum of Rs.10,00,000/-, evidenced by Ext.P7 as well as Ext.P7(a).

3. The limited relief sought in this writ petition is for a direction to the respondent Bank to consider and dispose of Ext.P6 representation, taking note of the remittance covered by Ext.P7.

4. Having heard the learned counsel for the petitioners as well as the learned counsel for the respondent Bank, this writ petition is disposed of directing the respondent Bank to take up Ext.P6 representation and, taking note of the deposit made as evidenced by Ext.P7, consider and dispose of the same within a period of two weeks from the date of receipt of a copy of this judgment.

Till the consideration and disposal of the application for One Time Settlement, the respondent Bank shall defer publication of the notice issued under Section 13(4) of the SARFAESI Act in the newspapers.

Sd/-